Sartorius AG · XETR:SRT

Sartorius — Sartorius Stedim Biotech — Shareholder Meeting (April 2015)

35 slides from Sartorius's shareholder meeting presentation, Apr 7, 2015

  1. Slide 1: Annual Shareholders' Meeting April 7, 2015

    Welcome | Bienvenue | Benvenuti | Bienvenido | Willkommen | Welcome | Bienvenue | Benvenuti Annual AnnualShareholders’ Shareholders’Meeting Meetingon onApril April8,7,2014 2015 Bienvenue | Benvenuti | Bienvenido | Willkommen | Welcome | Bienvenue | Benvenuti | Bienvenid Willkommen | Welcome | Bienve

  2. Slide 2: Disclaimer

    Disclaimer This presentation contains statements concerning Sartorius Stedim Biotech Groups’ future performance. These statements are based on assumptions and estimates. Although we are convinced that these forward-looking statements are realistic, we cannot guarantee that they will actually materia

  3. Slide 3: Agenda

    Agenda 1 2014 Highlights 2 2014 Results Review | Guidance 2015 3 Dividend Proposal 4 Proposals Concerning Resolutions 10 - 14 5 Mid-term prospects

  4. Slide 4: 2014 Highlights

    Order intake + 17% 2014 1) Sales revenue 1) + 16% Underlying EBITDA 2) + 18% Underlying EPS 3) + 16% 1) Constant currencies 2) Earnings before interest, taxes, depreciation and amortization, adjusted for extraordinary items 3) Based on net profit 4 after non-controlling interest, adjusted for extrao

  5. Slide 5: Performance Driven by Both Strong Organic Growth and Acquisitions

    Performance Driven by Both Strong Organic Growth and Acquisitions Dynamic organic business expansion across all product lines and regions Positive development of acquired businesses Lonza Cell AllPure Culture Media TAP Biosystems Technologies 5

  6. Slide 6: Continued Infrastructure Expansion

    Continued Infrastructure Expansion  Production capacities for single-use bags expanded at three sites  New membrane casting machine installed; to be commissioned in 2015  Extension of fermentation capacity in Bangalore 6

  7. Slide 7: Main Credit Facility Refinanced in 2014

    Main Credit Facility Refinanced in 2014  Attractive credit market conditions used  €250 million syndicated loan terminated ahead of schedule  New syndicated loan agreement entered into by Sartorius AG  Since end of 2014 Sartorius Stedim Biotech uses a credit line of €300 million provided by Sart

  8. Slide 8: Agenda

    Agenda 1 2014 Highlights 2 2014 Results Review | Guidance 2015 3 Dividend Proposal 4 Proposals Concerning Resolutions 10 - 14 5 Mid-term prospects

  9. Slide 9: Strong Growth Slightly Ahead of Expectations

    Strong Growth Slightly Ahead of Expectations Order intake Sales revenue Order Intake in € million in € million  Dynamic expansion despite high base 722.1 683.5 Sales Revenue 614.9 588.4  Organic growth of ~8.5% fueled by all product lines  Both organic and non-organic performance better than expe

  10. Slide 10: Sales Growth Supported by All Main Regions

    Sales Growth Supported by All Main Regions North America Europe Asia | Pacific Other Markets Sales1) by Regions Sales1) in € million Sales1) in € million Sales1) in € million Sales1) in € million in % 314.9 Europe ~ 46% 287.1 205.2 150.8 North America ~ 30% 125.8 142.9 24.7 20.5 € 683.5 mn FY13 FY14

  11. Slide 11: Overproportionate Earnings Growth Yet Again

    Overproportionate Earnings Growth Yet Again Underlying EBITDA1) EBITDA margin1) Earnings per share2) in € million in % in € 160.5 5.68 135.6 27 4.90 23.0 23.5 24 21.5 20.9 21 19.8 18 15 FY13 FY14 FY13 FY14 FY 10 FY 11 FY 12 FY 13 FY 14 + 18.4% + 15.9% Underlying EBITDA margin in % (rhs)  Underlying

  12. Slide 12: Strong Cash Flow Performance

    Strong Cash Flow Performance Sartorius Stedim Biotech FY FY in € million (unless otherwise specified) 2013 2014 Net cash flow from operating activities 90.1 111.3  Driven by strong earnings development  Below last year as planned Net cash flow from investing activities1) -73.4 -46.8  Capex ratio

  13. Slide 13: Very Healthy Balance Sheet Despite High Level of Investments

    Very Healthy Balance Sheet Despite High Level of Investments Balance sheet Net Debt to Underlying EBITDA in € million 906.8 906.8 873.4 873.4 150 18.1% 25.3% 30.0% 30.5% 130.3 113.7 26.7% 15.3% 100 102.8 100.1 87.4 1.2 50 1.0 1.0 1.0 70.0% 69.5% 55.2% 59.4% 0.5 0 2013 2014 2013 2014 2010 2011 2012 2

  14. Slide 14: Balance Sheet of the Parent Company

    Balance Sheet of the Parent Company December 31, 2014 in € million (unless otherwise specified) Assets Equity and Liabilities Non-current Assets 136.2 96.6% Equity 71.1 50.5% Current Assets 4.7 3.4% Liabilities 69.8 49.5% Total 140.9 100% Total 140.9 100%  Equity and balance sheet total significant

  15. Slide 15: Significant Outperformance Versus French Indices

    Significant Outperformance Versus French Indices 220% 220 Year 2014 Market Capitalization 200 200% SSB +32.4% NASDAQ Biotech CAC Small +33.9% +6.5% €3.1 bn 180 180% SBF120 +2.1% as of April 1, 2015 160 160% SSB NASDAQ Biotech 140% 140 CAC Small 120 120% SBF120 100% 100 80% 80 Jan Feb Mar Apr May Jun

  16. Slide 16: Positive Outlook for 2015

    Positive Outlook for 2015 Sartorius Stedim Biotech Group FY 2014 Guidance 2015 Sales revenue growth1) 15.9% ~ 4% - 7% Underlying EBITDA margin 23.5% ~ 24.0% - 24.5%1) Capex ratio 6.5% ~ 6% - 8% €|$ Development 1.5  USD most important foreign currency for SSB 1.4 2014 Average 2014 1.3  Significant

  17. Slide 17: Agenda

    Agenda 1 2014 Highlights 2 2014 Results Review | Guidance 2015 3 Dividend Proposal 4 Proposals Concerning Resolutions 10 - 14 5 Mid-term prospects

  18. Slide 18: Consistent Dividend Increase

    Consistent Dividend Increase Earnings per Share1) Dividend per Share in € in € 5.68 4.90 1.30 4.21 1.20 3.49 1.10 2.81 1.00 0.90 2010 2011 2012 2013 2014 2010 2011 2012 2013 20142)  Total profit distributed would increase from €18.4 mn to 20.0 mn  Payout ratio at 22.9% (2013: 24.5%) 1) Based on ne

  19. Slide 19: Agenda

    Agenda 1 2014 Highlights 2 2014 Results Review | Guidance 2015 3 Dividend Proposal 4 Proposals Concerning Resolutions 10 - 14 5 Mid-term prospects

  20. Slide 20: Proposals Concerning Resolutions 10 - 14

    Proposals Concerning Resoutions 10 - 14 Resolution 10 Anne-Marie Graffin to be appointed as a new independent director Resolution 11 Susan Dexter to be appointed as a new independent director Resolution 12 Renewal of Oscar-Werner Reif‘s appointment Approval of these proposals will allow compliance w

  21. Slide 21: Agenda

    Agenda 1 2014 Highlights 2 2014 Results Review | Guidance 2015 3 Dividend Proposal 4 Proposals Concerning Resolutions 10 - 14 5 Mid-term prospects

  22. Slide 22: SSB Operates in a Healthy Market Environment

    SSB Operates in a Healthy Market Environment CAGR1) 6-8% Market 2008 16% 2013 22% 2018 26% Growth Conventional | Unclassified Biotechnology Overproportionate Growth of Biopharma Market Past Present Technology Trends Continuous Shift from Multi-Use to Single-Use 1) Biotech market; Evaluate Pharma: Wo

  23. Slide 23: Market Leading Position with Clear Focus on SU Technologies

    Market Leading Position with Clear Focus on SU Technologies Among the #1 #1 #4 TOP 3 >85% of sales generated from a TOP 1-3 position ~75% of sales relate to single-use products 23

  24. Slide 24: The Widest Product Portfolio Across the Biopharma Process Chain

    The Widest Product Portfolio Across the Biopharma Process Chain Upstream Bioprocessing Downstream Bioprocessing Media Seed Production Cell Removal | Viral Formulation| Capture Polishing Preparation Fermentation Fermentation Clarification Clearance Final Fill Services Evaluation & Optimization | Engi

  25. Slide 25: Strong Track Record of Profitable Growth

    Strong Track Record of Profitable Growth Sales Revenue Earnings in € million EBITDA1) & margin CAGR CAGR ~ 12% 683.5 ~ 17% 588.4 160.5 544.0 135.6 477.3 432.9 117.0 23.5 99.6 23.0 85.9 21.5 20.9 19.8 2010 2011 2012 2013 2014 2010 2011 2012 2013 2014 1) Excluding extraordinary items 25

  26. Slide 26: Ambitious Long-Term Targets Supported by Growth Initiatives

    Ambitious Long-Term Targets Supported by Growth Inititatives 2020 ~€1.5bn Sales Revenue ~28% EBITDA margin1) ~2|3 ~1|3 Organic Acquisitions Strategic Initiatives Regional Growth Portfolio Extension Infrastructure Expansion 1) Excluding extraordinary items 26

  27. Slide 27: Continuous Market Share Gains in North America

    Continuous Market Share Gains in North America Share of Sales1) Sales Development Footprint CAGR2) Global biotech ~ 19% market ~ 50% 205.2 Bohemia, USA SSB ~ 30% New Oxford, USA Wilmington, USA 117.3 Mexico City, Yauco, Mexico Puerto Rico 2011 2014 Sales Production  Go-to-market initiative successf

  28. Slide 28: Asian Markets Offer Significant Growth Opportunities

    Asian Markets Offer Significant Growth Opportunities  Expanding healthcare systems and private spending Global Biosimilars Market  Asia is the center for global biosimilars development ~$ 2.5bn  Double-digit market growth projected 2012 Strong biosimilars pipeline driven by patent expiries ~$ 11-

  29. Slide 29: Growth Initiative Asia: Leverage Strong Market Growth

    Growth Initiative Asia: Leverage Strong Market Growth Share of Sales1) Sales Development Footprint 100% Other CAGR2) Beijing, China Seoul, Korea 75% ~ 16% Tokyo, Japan Shanghai, China Japan 142.9 ~ 21% 50% India Bangalore, 96.7 South India Korea Kuala Lumpur, Singapore, Singapore 25% Malaysia China

  30. Slide 30: Acquisitions Remain Part of Our Strategy: Example TAP Biosystems

    Acquisitions Remain Part of Our Strategy: Example TAP Biosystems Process Development Production Acquisition Focus  Products and Technologies which complement portfolio  Generally decent market position required  Strong position in the US market appreciated 30

  31. Slide 31: Continued Capacity Extension to Accommodate Growth

    Continued Capacity Extension to Accommodate Growth Capex Ratio in % of sales revenue 10 9.2 8.1 ~6-8 8 6.5 5.8 6 3.9 4 2 0 2010 2011 2012 2013 2014 2015e1)  Modernize and expand production capacity in UK for single-use products  Multi-year investment program to expand Goettingen site  Further ext

  32. Slide 32: SSB 2020 on Track to Achieve Organic Growth and Margin Ambition

    SSB 2020 on Track to Achieve Organic Growth and Margin Ambition Dynamic organic growth slightly ahead of plan Continuous margin expansion mainly driven by economies of scale Strong execution on acquisitions and alliances Non-organic sales contribution depending on availability of acquisition targets

  33. Slide 33: Next Annual Shareholders' Meeting April 5, 2016

    Next Annual Shareholders‘ Meeting April 5, 2016 | Aubagne

  34. Slide 34: Thank you very much for your attention

    Annual Shareholders‘ Meeting of Sartorius Stedim Biotech S.A. | April 7, 2015 | Aubagne |Annual Thank youAnnual very much for your attention. Shareholders’ Meeting Shareholders‘ Meeting of Sartorius Stedim Biotech S.A. | April 7, 2015 | Aubagne | Annual Shareholders‘ Meeting of Sartorius Stedim Biot

  35. Slide 35: Financial Calendar

    Financial Calendar  April 20, 2015 Publication of first quarter 2015 figures  July 22, 2015 Publication of half-year 2015 figures  October 20, 2015 Publication of nine-month 2015 figures  January 2016 Publication of preliminary full-year 2016 figures  April 5, 2016 Annual General Shareholders‘

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